PA Career Education & Work Standards
Lesson Planning Guide
Budget to Achieve
Strand:
13.3 Career Retention and Advancement
CEW Standard 13.3.8.D: Analyze budgets and pay statements.
Other Standards: CC.2.2.8.C.1; CC.2.2.8.C.2
Grade Level: 8th Grade
Approximate Time: One 45-minute class periods
Big Ideas:

Personal budgeting is significantly impacted by career choice.
Essential Questions:

How can Algebra help you analyze a personal budget to assist you in obtaining
desired items in real life?
Vocabulary





Slope - Slope is the change in y divided by the change in x of a linear graph.
(Rise over Run; Rate of Change)
Slope-Intercept Form - The linear equation of the form, y = mx + b, where m is
the rate of change and b is the y-intercept
Savings Account - A bank account on which interest is paid, traditionally one for
which a bankbook is used to record deposits, withdrawals, and interest payments
Loan - A sum of money that is borrowed and expected to be paid back with
interest
Budget - A financial plan that summarizes anticipated income and expenditures
over a period of time
Rationale
RATIONALE: This lesson is designed to illustrate how algebraic concepts can be applied
in the real world in the form of budgets and personal finance. Students will have an
opportunity to analyze budgets and income and draw conclusions about how proper
budgeting can lead students to achieve their financial goals. This lesson also benefits the
students by reinforcing their algebraic skills of creating tables, formulating equations, and
graphing equations on a coordinate plane.
SUGGESTIONS FOR IMPLEMENTING: This lesson is intended to be used as a
culminating lesson on interpreting a linear function in the form y = mx+b into two different
SAS ID #27775
Page 2
representations. The intent of this lesson is for the students to apply their knowledge of y =
mx+b to the idea of a savings account and income and the goal of either saving to buy a
certain item, or saving to pay off a certain item.
Objectives
Objectives
Method of Summative
Evaluation
1. Given a teacher created assessment, students will define
budget, loan, and savings account with 100% accuracy as
determined by the teacher.
Written evaluation teacher review of
worksheet using the
answer key
2. Given a fictitious real-life scenario, students will work
individually to determine the rate of change and initial
amount (y-intercept) of a savings account. Students must
score a 3/3 on this section of the rubric.
Project evaluation rubric
3. Given a fictitious real-life scenario, students will work
Project evaluation individually to create a table, y = mx + b equation, graph
rubric
and verbal explanation to represent the amount of money in
an account. Students must score a 13/15 on this part of the
rubric.
Resources
1. Teacher resource - Savings Account Scenarios
See attached
2. Assessment - Lesson Vocabulary
See attached
3. Student response sheet - Linear Equations in the Real World: Savings Account
Scenario
See attached
4. Rubric - Linear Equations in the Real World Rubric: Savings Account
See attached
5. Teacher resource - Loan Scenarios
See attached
6. Student response sheet - Linear Equations in the Real World: Loan Scenario
See attached
7. Rubric - Linear Equations in the Real World Rubric: Loan
See attached
Equipment/Materials/Software
1. Rulers
SAS ID #27775
Page 3
Instructional Procedures
Strategy
Outline
Resources/
Materials
Related
Skills
Objective 1 – Given a teacher created assessment, students will define budget, loan, and
savings account with 100% accuracy as determined by the teacher.
Activating
Strategy/
Introduction
Assessment
SAS ID #27775
Have a discussion with students about
Resource 1
wanting certain items in life, but not always
being able to afford them right away.
Arrive to the conclusion that we can either
save up for the item, or we can take a loan
out for the item that must be paid off.
Explain how items can be obtained if people
analyze their financial situations and
personal budgets properly. Explain that in
this lesson they will use algebra to show
them one way of making this analysis. Build
background knowledge to ensure the
students understand the Essential Question.
Then introduce the definitions of budget,
savings accounts, and loans (see the
“Vocabulary” section of this planning
guide).
Before class, using the teacher resource Savings Account Scenarios, prepare slips of
paper with one savings scenario on each.
Have students pick a fictitious scenario with
a desired item out of the hat/container along
with an income and an initial amount of
savings. These pieces of information will
represent a made-up real-life scenario that
applies to the student. Review the
definitions of budget, savings accounts and
loans.
At this point hand out the assessment on
vocabulary terms. At the bottom of the
assessment there is an activating question
that the students will have to answer. This
question will set up the rest of the lesson.
The question is, “How long do you think it
will take you to purchase your fictitious
desired item based on the level of income
and initial savings you randomly drew from
the hat?”
Resource 2
Page 4
Objective 2 - Given a fictitious real-life scenario, students will work individually to determine
the rate of change and initial amount (y-intercept) of a savings account. Students must score a
3/3 on this section of the rubric.
Activity
Distribute the student response sheet for the
savings account. Have them focus on the
first two items. Explain that they will
examine their fictitious real-life scenario
and based on their determined level of
income and the starting amount in their
savings account; have them determine the
initial amount (y-intercept) and rate of
change (slope). Note that the y-intercept
will be the starting amount in the account
and the rate of change will be the income
being deposited into the account. Distribute
the rubric for the savings account and go
over the first category, “Rate of Change and
Initial Amount.” Explain that they must
score a three out of three to continue.
Resource 1
Resource 3
Resource 4
13.3.8.D
CC.2.2.8.C.1
CC.2.2.8.C.2
Give students a few minutes to determine
the initial amount and rate of change.
Visually examine their answers to make
sure these are correct.
Objective 3 - Given a fictitious real-life scenario, students will work individually to create a
table, y = mx + b equation, graph and verbal explanation to represent the amount of money in
an account. Students must score a 14/16 on this part of the rubric.
Activity
Explain to students that they will be
creating a table to represent the amount of
money in their savings account over time.
Remind students the table will start with an
x (or time) value of zero to represent the
initial amount in the account. Have them fill
in the “X, Y” table on the response sheet.
Remind them of the spacing requirements
and that they are to have a minimum of five
ordered pairs.
Explain that they will next create a y = mx
+b (slope-intercept) equation based on the
slope and initial amount they determined
before creating the table. Remind them of
where to plug in the determined amounts
into the equation.
After completing the equation, explain that
SAS ID #27775
Resource 1
Resource 3
Resource 4
Equipment 1
13.3.8.D
CC.2.2.8.C.1
CC.2.2.8.C.2
Page 5
they will then graph their y= mx + b
equation on a given coordinate plane.
Finally, tell them to create a verbal
explanation of the amount of money in their
savings account at any given time and the
time when they will reach the desired
amount to make their purchase.
Review the rubric and categories to make
sure they understand the criteria for which
they will be evaluated.
Activity
Closure
SAS ID #27775
Distribute rulers to help create the graphs
and give them about ten minutes to
complete the above requirements.
Form groups of four to five students who
have the same scenarios. Have them check
each other’s work for errors. Give students
time to revise their work if needed. Allow
about five minutes for this check.
Explain that they will be repeating the
above process for a situation where instead
of saving money to obtain an item, they will
be paying off a loan for it. Have each
student randomly select a real-life loan
scenario out of a hat/container. Note that in
this case the rate of change should be
negative and the scenario will include an
initial loan amount and an amount of
income being used monthly to pay off that
loan. Remind students that in this case there
is no savings account the money is coming
off of a loan.
Distribute the response sheet and rubric for
loans. Direct them to again determine the
rate of change and initial amount and use
these to create a table, equation, graph and
verbal explanation. In order to utilize y =
mx + b, tell students to assume all loans are
interest-free. Review the rubric for this
activity. Allow about twenty minutes for
this activity.
Reform the previous scenario groups and
have them discuss about how they could
purchase their desired item sooner in the
CC.2.2.8.C.1
CC.2.2.8.C.2
Resource 5
Resource 6
Resource 7
13.3.8.D
CC.2.2.8.C.1
CC.2.2.8.C.2
13.3.8.D
Page 6
savings scenario. Have them also discuss
how they could pay off their loan sooner.
As a class discuss their answers to make
sure they identified in the savings scenario
as either depositing more into the account
each month, or starting with a greater initial
amount and in the loan scenario, to pay
more towards the remaining balance of the
loan each month. Allow about five minutes
for this closure.
Use the rubrics to grade the results of both
scenarios.
Formative Assessment
In the introduction the class reviews and is tested on the definitions of the major terms to
make sure these are learned for the activities to come. During the lesson for the second
objective the graphs are reviewed by other groups to make sure they are correct before
continuing. As a closure, the class discusses some possibilities for purchasing their item
and paying off their load sooner to make sure students have a grasp of the information
they have created.
Suggested Instructional Strategies
Active Engagement, Auditory, Explicit Instruction, Nonlinguistic Representation,
Verbal/Linguistic, Visual/Spatial, Webb’s Depth of Knowledge (Extended Thinking,
Recall, Skill/Concept), Higher Order Thinking (Analyze, Application, Comprehension,
Evaluation, Knowledge)
WHERE TO
W
H
E
R
The introduction of the lesson will include an activating strategy that will use
real life scenarios that will show the students where we are heading with this
lesson. Through the activation strategy we will ascertain the students’
background knowledge about savings, loans, and budgeting for desired items
in life. If needed we will build background knowledge to ensure the students
understand the Essential Question.
This lesson will hook the students because of the real life scenarios that will
be drawn from a hat. The lesson is designed to hold the students attention
throughout the lesson by making the students analyze budgets using algebraic
concepts. In addition, the items that the students are budgeting for bring the
lessons into the lives of eighth grade students.
This lesson is intended to reinforce previously learned algebraic concepts.
The students will explore budgets while creating tables, equations and graphs.
The real life scenarios will engage students in analyzing their personal budgets
(fictitious) while applying previously learned algebraic concepts.
Students will have a chance to revise and refine their work when they meet
SAS ID #27775
Page 7
E
T
O
with students that have selected the same real life scenario. Based on the
feedback from the other students and the teacher, students will have the
opportunity to reflect on the data. Once the students are done analyzing their
personal budget they will reflect on the data and create their verbal
explanation.
Students will exhibit their understanding of algebra by creating tables,
equations, and graphs from a fictitious budget. The students will exhibit their
understanding of savings, loans and budgets through their verbal explanations.
The students’ analysis of their personal fictitious budgets should help them
understand budgets and personal financial goals in the future.
This lesson can be tailored to individual needs. The scenarios may be read to
students with reading difficulties. Students with fine motor skill limitations
can be assisted by students or the teacher when creating their graph. The
possibilities are limitless based on the students’ needs and or learning styles.
This lesson is organized in sequential order. First, the students will have to
take the budget scenario and then create a table. Next they will take the data
from the table and create an equation. Then the students will create a graph.
Finally, the students will create a verbal explanation of their analysis of the
personal budgets. This sequential order will be key to making this lesson
effective.
______________________________
This planning guide was written by John Madden, Seventh Grade Special Education Teacher,
Central Columbia School District, Bloomsburg, PA.
SAS ID #27775
Resource #1
Savings Account Scenarios
Savings Account Scenario A
You want to buy an Xbox One for $500. You just received $75 from your favorite aunt for
your birthday. You decide to create a savings account for this Xbox. Your plan is to deposit $7
out of your allowance each week to make this purchase. After how many weeks will you have
enough money to make your purchase?
Savings Account Scenario B
You don’t care how long it takes. Your dream car is a Dodge Viper and you want to start
saving now in 8th grade! Assume that when you do finally have enough money to purchase the
car, it will still be worth its current amount, $99,885. You currently have $1000 in the savings
account your parents have had for you since you were born. You decide to contribute $500 a
year to this savings account. After how many years will you have enough money to make your
purchase?
Savings Account Scenario C
You want to go to a One Direction Concert in Philadelphia. Your mom says she will transport
you there, but you have to pay for your entire ticket. The tickets cost $85.50. Currently, you
have $2 dollars in your piggy bank. You get $5 a week for an allowance and your plan is to put
all $5 into your piggy bank. After how many weeks will you have enough money to make your
purchase?
Savings Account Scenario D
Your life dream is to travel to Paris. You found a tour group that offers an all-inclusive trip for
$2890. You currently do not have a savings account so you go to the bank and set one up. You
deposit $23 into the account. You mow grass and can deposit another $40 a week. After how
many weeks will you have enough money to make your purchase?
Savings Account Scenario E
You really want a pair of Beats Headphones, but they cost $148. Your Grandma just gave you
$10 for having such a good report card and you use this to start a savings account. You
convince your mom to give you $4 a week if you make your bed every day. Your plan is to put
all $4 into your savings account each week. After how many weeks will you have enough
money to make your purchase?
Resource #2
Lesson Vocabulary
Name:_____________________________________
Directions: Circle the answer choice that best answers the question.
1. What is a bank account on which interest is paid, traditionally one for which a bankbook is used to
record deposits, withdrawals, and interest payments?
a. budget
b. loan
c. savings account
2. What is a financial plan that summarizes anticipated income and expenditures over a period of time?
a. budget
b. loan
c. savings account
3. What is a sum of money that is borrowed and expected to be paid back with interest?
a. budget
b. loan
c. savings account
Activating question:
After drawing the real life scenario from the hat, please answer the following question using a complete
sentence.
How long do you think it will take you to purchase your fictitious desired item based on the level of income and
initial savings you randomly drew from the hat?
__________________________________________________________________________________________
__________________________________________________________________________________________
__________________________________________________________________________________________
Resource #3
Name: _____________________________ Date: __________ Period: ____
Linear Equations in the Real World
Savings Account Scenario _______
1.
What is the rate of change in your scenario?
X
(
Y
) (
2.
What is the initial amount in your scenario?
3.
Create a table for your equation. What is x and what is y?
4.
Create a y = mx + b equation for your scenario.
5.
Create a graph for your scenario. Remember to label your x and y-axis with what they represent from #3.
6.
Provide a verbal representation of your scenario. (verbally explain your y = mx + b equation)
When will you have enough money in your account to make your purchase? Explain how you know.
)
Resource #4
Linear Equations in the Real World – Rubric
Savings Account
Student Name: _______________________
Student correctly
identifies the rate of
change and initial
amount in their scenario.
Student correctly
identifies either the rate
of change or the initial
amount in their
scenario.
Student attempts to
identify the rate of
change and initial
amount, but does so
incorrectly for both.
Student does not make an
attempt to identify the
rate of change and initial
amount.
Student incorrectly
identifies the x and y
variables.
OR
Student provides 3-4
data points that are
spread out.
Student either correctly
plugs in the rate of
change for the slope
(m) or initial amount
for the y-intercept (b).
Student incorrectly
identifies the x and y
variables.
AND/OR
Student provides 1-2
data points that are
spread out.
Student uses the correct
rate of change and
correct y-intercept, but
does not plug into y =
mx + b.
Student does not identify
x and y variables and
does not provide any data
points in the table.
Student correctly plots
the slope and
y-intercept and
connects them with a
line, but does not label
the x and y axis with
what the variables
mean in terms of the
problem.
Student incorporates
either the rate of
change or initial
amount in their
explanation correctly.
Student correctly
identifies the time
frame asked in the
scenario with one
Algebra mistakes.
Student plots
y-intercept and slope
incorrectly, resulting in
the wrong graph.
Student does not graph
the y-intercept or use the
slope to create graph of
their real-life situation.
Student incorporates
neither the rate of
change or initial amount
in their explanation
correctly.
Student correctly
identifies the time frame
asked in the scenario
with two Algebra
mistakes.
Student does not use a
rate of change or initial
amount in verbal
explanation.
Table
0
Equation
1
Student correctly plugs
in the rate of change for
the slope (m) and initial
amount for the yintercept (b).
Graph
2
Student correctly labels
the x and y axis with
what the variables mean
in terms of the problem.
Student also correctly
plots the slope and
y-intercept and connects
them with a line.
Explanation
3
Student correctly
identifies the x and y
variables. Student
provides 5 data points
that are spread out.
Student incorporates the
rate of change and initial
amount in their
explanation correctly.
Time
Frame
Verbal
Rate of
Change
and Initial
Amount
Category
Student correctly
identifies the time frame
asked in the scenario
with no mistakes.
Student does not plug into
y = mx + b and does not
use the given rate of
change or initial amount.
Student correctly
identifies the time frame
asked in the scenario with
two or more Algebra
mistakes.
Total Number of Points: ______ / 18
Resource #5
Loan Scenarios
Loan Scenario 1
You took out a $30,000 loan for college. You’ve graduated and work as a nurse and want to
pay this loan of ASAP! You decide to use $240 a month from your paycheck to put towards
paying off this loan. After how many months will you have your loan paid off?
Loan Scenario 2
You took out a $25,000 loan for a Ford Mustang. You work as a nurse and want to pay this
loan of ASAP! You decide to use $240 a month from your paycheck to put towards paying off
this loan. After how many months will you have your loan paid off?
Loan Scenario 3
You take out a $200,000 loan for a house (mortgage). You work as an accountant and are able
to contribute $700 a month toward this loan. After how many months will you have your loan
paid off?
Loan Scenario 4
You take out of a loan of $72,000 to start your own Bakery. Once you start making money at
the Bakery, you plan to pay off the loan with $300 a month. After how many months will you
have your loan paid off?
Loan Scenario 5
You loan your friend $7,500 for them re-do their patio. Your friend plans to pay you $200 a
month to pay off the loan. After how many months will you be paid back?
Resource #6
Linear Equations in the Real World
Loan Scenario _______
1.
What is the rate of change in your scenario?
X
(
Y
) (
2.
What is the initial amount in your scenario?
3.
Create a table for your equation. What is x and what is y?
4.
Create a y = mx + b equation for your scenario.
5.
Create a graph for your scenario. Remember to label your x and y-axis with what they represent from #3.
6.
Provide a verbal representation of your scenario. (verbally explain your y = mx + b equation)
When will your loan be paid off? Explain how you know.
)
Resource #7
Linear Equations in the Real World – Rubric
Loan
Student Name: _______________________
Student correctly
identifies the rate of
change and initial
amount in their scenario.
Student correctly
identifies either the rate
of change or the initial
amount in their
scenario.
Student attempts to
identify the rate of
change and initial
amount, but does so
incorrectly for both.
Student does not make an
attempt to identify the
rate of change and initial
amount.
Student incorrectly
identifies the x and y
variables.
OR
Student provides 3-4
data points that are
spread out.
Student either correctly
plugs in the rate of
change for the slope
(m) or initial amount
for the y-intercept (b).
Student incorrectly
identifies the x and y
variables.
AND/OR
Student provides 1-2
data points that are
spread out.
Student uses the correct
rate of change and
correct y-intercept, but
does not plug into y =
mx + b.
Student does not identify
x and y variables and
does not provide any data
points in the table.
Student correctly plots
the slope and
y-intercept and
connects them with a
line, but does not label
the x and y axis with
what the variables
mean in terms of the
problem.
Student incorporates
either the rate of
change or initial
amount in their
explanation correctly.
Student correctly
identifies the time
frame asked in the
scenario with one
Algebra mistakes.
Student plots
y-intercept and slope
incorrectly, resulting in
the wrong graph.
Student does not graph
the y-intercept or use the
slope to create graph of
their real-life situation.
Student incorporates
neither the rate of
change or initial amount
in their explanation
correctly.
Student correctly
identifies the time frame
asked in the scenario
with two Algebra
mistakes.
Student does not use a
rate of change or initial
amount in verbal
explanation.
Table
0
Equation
1
Student correctly plugs
in the rate of change for
the slope (m) and initial
amount for the yintercept (b).
Graph
2
Student correctly labels
the x and y axis with
what the variables mean
in terms of the problem.
Student also correctly
plots the slope and
y-intercept and connects
them with a line.
Explanation
3
Student correctly
identifies the x and y
variables. Student
provides 5 data points
that are spread out.
Student incorporates the
rate of change and initial
amount in their
explanation correctly.
Time
Frame
Verbal
Rate of
Change
and Initial
Amount
Category
Student correctly
identifies the time frame
asked in the scenario
with no mistakes.
Student does not plug into
y = mx + b and does not
use the given rate of
change or initial amount.
Student correctly
identifies the time frame
asked in the scenario with
two or more Algebra
mistakes.
Total Number of Points: ______ / 18